106 STAT. 4070

PUBLIC LAW 102-550—OCT. 28, 1992

Counterfeit
Deterrence
Act of 1992.
18 USC 471
note.

Subtitle £—Counterfeit Deterrence

SEC. 1551. SHORT TITLE.

This subtitle may be cited as the "Counterfeit Deterrence Act
of 1992".

SEC. 1552. INCREASE IN PENALTIES.

Section 474 of title 18, United States Code, is amended—

(1) by inserting "(a)" before "Whoever" the first time it
appears:

(2) by striking "United States; or" at the end of the sixth
undesignated paragraph and inserting "United States—";

(3) by striking the seventh undesignated paragraph;

(4) by amending the last undesignated paragraph to read
as follows:

"Is guilty of a class C felony."; and

(5) by adding at the end thereof the following:

"(b) For purposes of this section, the terms 'plate, 'stone', 'thing*,
or 'other thing* includes any electronic method used for the acquisi-
tion, recording, retrieval, transmission, or reproduction of any
obligation or other security, unless such use is authorized by the
Secretary of the Treasury. The Secretary shall establish a system
(pursuant to section 504) to ensure that the legitimate use of
such electronic methods and retention of such reproductions by
businesses, hobbyists, press and others shall not be unduly
restricted.".

SEC. 1553. DETERRENTS TO COUNTERFEITING.

(a) IN GENERAL.—Chapter 25 of title 18, United States Code,
is amended by inserting after section 474 the following new section:

M§474A. Deterrents to counterfeiting of obligations and
securities

"(a) Whoever has in his control or possession, after a distinctive
paper has been adopted by the Secretary of the Treasury for the
obligations and other securities of the United States, any similar
paper adapted to the making of any such obligation or other secu-
rity, except under the authority of the Secretary of the Treasury,
is guilty of a class C felony.

"(b) Whoever has in his control or possession, after a distinctive
counterfeit deterrent has been adopted by the Secretary of the
Treasury for the obligations and other securities of the United
States by publication in the Federal Register, any essentially iden-
tical feature or device adapted to the making of any such obligation
or security, except under the authority of the Secretary of the
Treasury, is guilty of a class C felony.

"(c) As used in this section—

"(1) the term 'distinctive paper* includes any distinctive

medium of which currency is made, whether of wood pulp,

rag, plastic substrate, or other natural or artificial fibers or

materials; and

"(2) the term 'distinctive counterfeit deterrent' includes any

ink, watermark, seal, security thread, optically variable device,

or other feature or device;

"(A) in which the United States has an exclusive prop-
erty interest; or